A multi-facility manufacturing and distribution operation with fluctuating labor requirements was experiencing difficulty effectively staffing their plant. The client was located in a rural market and had low visibility within the community since their main source of candidates were acquired through word of mouth. Due to their fluctuating demand for employees and heightened recruiting complications, the client had high levels of weekly turnover. The associate turnover rate resulted in safety incidents, low productivity, and associate disengagement.
Challenge
Prior to the swift implementation of Staff Management | SMX’s Onsite Workforce Management (OWM) solution, our client faced several challenges within their existing staffing program. High employee turnover rates and their inadequate ability to fill open positions led to significant costs in necessary overtime, increased training, and the deployment of internal resources to compensate for the lack of a strong contingent workforce.
Solution
Staff Management | SMX assists this client by providing an OWM solution that includes a specialized recruitment team and a centralized service desk to support field operations. Staff Management | SMX increased the client’s visibility within the community in order to attract more applicants and develop existing employee engagement.
Our services continue to build a strong community presence for the client far beyond conventional sourcing, such as posting flyers and holding job fairs. In fact, letters are sent out to all of the churches in the community to thank them for their support and to raise awareness of the client’s open positions.
Staff Management | SMX implemented multiple employee engagement initiatives and incentive programs in order to connect with our associates. Our OWM solution strengthens relationships with associates through monthly town hall meetings, new hire surveys, and an on-site employee relations associate who dedicates their time on the floor monitoring and engaging workers.
Furthermore, Staff Management | SMX reinforces and improves risk management efforts by providing new hire safety training, monthly OSHA safety training, and an on-site safety manager.
This client fundamentally benefits from Staff Management | SMX’S OWM solution on multiple levels. Less time and money is being spent on sourcing and training associates since Staff Management | SMX increases the client’s visibility within the rural market. Associate turnover rates are impressively lower since the implementation of the associate engagement initiatives.
Results
Staff Managment | SMX effectively reduced weekly employee turnover rates by 5.2%, from 7% in 2007 to 1.8% in 2015. Also, they have maintained a consistent fill-rate of 99.5%.